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Leading the News

Small Business Owners Contend With “Strong Headwinds” Amid Economic “Roller Coaster” (10/26/2021)

NFIB Chief Economist Bill Dunkelberg wrote in Forbes (10/20, Dunkelberg) that “since 2019, the economy has been on a roller coaster growth trip,” but it is now “approaching ‘normal’ and growth is slowing to historically typical rates. But the recovery has not been easy on Main Street. More small business owners predict that their local economy will take longer to return to pre-crisis levels than did so two months ago.” Dunkelberg added, “This squares with the rather pessimistic view owners hold regarding future business conditions overall. Only 10% of small employers expected better business conditions in September, down from 53% in April 2020 and 25% in April 2021.” Owners face “strong headwinds operating their business, including significant staffing shortages, supply chain disruptions, and surging Covid-19 infection rates in some parts of the country.”

In a sponsored article in ColoradoBiz Magazine (10/18), Shawn McGoff head of Commercial, EVP, at Citywide Banks discussed the supply chain issues small businesses are expected to face “for some time,” saying, “it’s time to reassess supply-chain design and ordering practices.” McGoff quoted NFIB Chief Economist Bill Dunkelberg: “As the economy moves into the fourth quarter, small business owners are losing confidence in the strength of future business conditions. The biggest problems facing small employers right now is finding enough labor to meet their demand and for many, managing supply chain disruptions.”




Business Climate

NFIB Concerned Paid Leave Push’s Small Business Burden (10/26/2021)

The New York Times (10/18, Ngo) reported that “paid leave...is one of the many proposals at risk of being scaled back or left out of an expansive social safety net bill that Democrats are trying to push through Congress.” The Times said, “While larger businesses have grown open to a paid leave program, some small business groups have pushed back against a federal mandate. Holly S. Wade, the executive director of the research center at the National Federation of Independent Business, said the group was concerned that a paid leave program would burden small employers since it would require more administrative reporting.” Wade was quoted saying, “While covering the cost of some of these mandates could potentially be helpful, in the way that an owner sees it, it just comes with a lot of paperwork, a lot of confusion and a lot of challenges.”




Small Business Marketing

Use Of Data For Analytics, Advertising Falls Under California Privacy Law (10/26/2021)

In an AdExchanger (10/22, Miller) op-ed, Rachel Miller, director of marketing communications at Permission.io, said California Attorney General Rob Bonta recently clarified the scope of what authorities will consider as a data sale under the California Consumer Privacy Act (CCPA). The letters Bonta sent to tech companies “help clarify one of the CCPA’s most significant ambiguities, which is whether data tracking for the purposes of analytics and advertising, including cookie-based tracking, fall under the CCPA’s definition of a ‘sale.’ The answer is: it does.” The enforcement letters “further clarify that general third-party opt-outs will no longer be sufficient for compliance.”




Wages and Benefits

First-Time Claims For Jobless Benefits Fall To Post-Pandemic Low (10/26/2021)

The AP (10/21, Rugaber) reported that according to data from the Department of Labor released Thursday, the number of claims for first-time employment claims fell 6,000 to 290,000 last week, a “new low point since the pandemic erupted, evidence that layoffs are declining as companies hold onto workers.” Reuters (10/21, Mutikani) reported it was “the second straight week that claims remained below 300,000 as employers hold on to workers in the face of an acute labor shortage. Economists polled by Reuters had forecast 300,000 claims for the latest week.”